SAN JOSE, Calif. – October 10, 2007 – The leading suppliers of silicon wafers participated in a consensus survey, obtained from SEMI surveying the SMG members. This survey provides an outlook for the demand in silicon units for the period 2007 – 2010. The results show silicon shipments reaching 8,696 million square inches in 2007, 9,695 million square inches in 2008, 10,257 million square inches in 2009, and 10,840 million square inches in 2010 (please refer to below table). Total wafer shipments are expected to experience robust growth through the entire forecast period, with an average CAGR of 8% from 2006 – 2010.

"Growth in silicon shipments continues to be driven by 300 mm.” said Dr. Volker Braetsch, Chairman SEMI SMG and Corporate Vice President of Siltronic AG. “Total 300 mm area is expected to exceed total 200 mm area by next year. Yet, 200 mm wafers will likely continue to be an important part of the market.”

Silicon wafers are the fundamental building material for semiconductors, which in turn, are vital components of virtually all electronics goods, including computers, telecommunications products, and consumer electronics. The highly engineered thin round disks are produced in various diameters (from one inch to 12 inches) and serve as the substrate material on which more than 95 percent of today’s semiconductor devices or "chips" are fabricated.

All data cited in this release are inclusive of polished silicon wafers, including virgin test wafers, epitaxial silicon wafers, and non-polished silicon wafers shipped by the wafer manufacturers to the end-users.

The Silicon Manufacturers Group acts as an independent special interest group within the SEMI structure and is open to SEMI members involved in manufacturing polycrystalline silicon, monocrystalline silicon or silicon wafers (e.g., as cut, polished, epi, etc.). The purpose of the group is to facilitate collective efforts on issues related to the silicon industry including the development of market information and statistics about the silicon industry and the semiconductor market.